Labour pledges three new towns to start before election, unveils 12-site plan

Labour pledged on Sunday to begin construction of three new towns before the next general election, unveiling a plan based on a New Towns Taskforce assessment of 12 locations across England. The party named Tempsford in Bedfordshire, Leeds South Bank, and Crews Hill in Enfield, north London, as the three most promising sites and said the plans would be outlined by Housing Secretary Steve Reed in the opening speech at Labour's annual conference in Liverpool.

Labour framed the proposal as a centerpiece of its economic strategy. The party said it would build 1.5 million homes by 2029 and that the 12 proposed developments could together deliver about 300,000 homes over the coming decades, with at least 10,000 homes in each new town. The New Towns initiative also seeks to push for a minimum 40% affordable housing share and to mobilize millions of pounds in public and private funding through a dedicated New Towns Unit to finance GP surgeries, schools, green spaces, libraries and transport.

The 12 sites range from standalone new towns to expansions of existing urban areas and regeneration projects within cities. They include Adlington in Cheshire East; a development corridor in South Gloucestershire spanning the Brabazon site and the West Innovation Arc; a combined Chase Park and Crews Hill development in Enfield; redevelopment of Heyford Park in Cherwell, Oxfordshire; an urban project on Leeds’ South Bank; Victoria North on the edge of Manchester city centre; Marlcombe in East Devon; renewal of Milton Keynes city centre with an expansion of its periphery and a new mass transit scheme; densified development in Plymouth; a new settlement in Tempsford; a riverside community in Thamesmead in south-east London; and an expanded development around Worcestershire Parkway railway station.

Environmental assessments and local consultations will determine the final locations, with government funding decisions expected next spring. The task force recommended that the new towns be delivered by development corporations, which could wield planning powers, compulsory land purchase, and financing for local services. If realised, the plan would follow a wartime-era model that produced new towns after World War II, aiming to create communities with integrated transport, services and green spaces.

Prime Minister Sir Keir Starmer framed the plan as a lifeline for homeownership. "For so many families, homeownership is a distant dream. My Labour government will sweep aside the blockers to get homes built, building the next generation of new towns," he said.

In its opening conference address, Housing Secretary Steve Reed was to signal a commitment to rapid delivery. He was expected to tell attendees that Labour would "build baby build", while "taking lessons from the post-war Labour government housing boom". Reed’s speech marks his first major remarks since succeeding Angela Rayner as housing secretary after her resignation over a tax issue related to a flat purchase.

The conference in Liverpool also comes amid leadership questions facing Labour. Prime Minister Starmer has faced scrutiny over strategy and messaging as the party trails Reform UK in recent polls, even as it seeks to pivot to a housing-led growth agenda. Reed’s announcement of a New Towns Unit and a push for development corporations signals a strategy to accelerate land assembly, funding, and planning reforms that supporters say are necessary to unlock large-scale housing supply.

The New Towns Taskforce highlighted a spectrum of sites across England, spanning rural-edge settlements to urban infill and regeneration projects. The selection process emphasized that the developments would be delivered by new or reimagined governance structures that could consolidate planning authority, land assembly, and service investment under a single banner. The model draws on the historical Stratford regeneration in east London, which investors view as a precedent for coordinating housing with transit, schools, health facilities and green space within a comprehensive development framework.

If the program proceeds as proposed, the 12 locations could become a test bed for how new towns are designed to integrate housing with health care, education, and sustainable transport. The emphasis on affordable housing aims to address long-standing shortages by guaranteeing that a substantial portion of new homes are accessible to households with lower incomes. Ministers stressed that environmental assessments and community consultation would shape the precise footprints and design of each town, with final approvals contingent on value-for-money considerations and public support.

Analysts note that delivering 1.5 million homes by 2029 would require a broad policy package, including streamlined planning rules, fast-tracked infrastructure funding, and cross-government collaboration. Supporters argue that well-planned towns could relieve pressure on already stretched urban centers, while critics warn of potential risks to local control, affordability, and the pace of construction. The government has signaled that the towns would be financed in part through public-sector funding and private investment, with the New Towns Unit entrusted to mobilize capital and manage early-stage service provision such as GP surgeries, schools and libraries, along with transport and green spaces.

The plan has momentum within Labour’s broader pitch to reframe the economy around housing-led growth and the associated supply chain. If the initial phase proves feasible, ministers foresee a rolling program that expands housing stock while reviving regional development and potentially creating thousands of construction jobs across England. Opponents, however, will likely scrutinize the project’s affordability targets, its environmental impacts, and the extent to which governance arrangements could empower development corporations without undermining local democratic accountability.

As Labour positions housing as a central lever for economic revival, the party will also need to translate aspirational targets into deliverable policy, funding commitments, and clear milestones. The next steps, including final site selections and the allocation of funding, are expected to unfold in the months ahead as ministers balance planning, environmental safeguards, and local engagement with the political calendar ahead of the next general election.